TheNigerianVoice Online Radio Center

Dangote Flour divests from Dangote Agrosacks, appoints new GCEO

By The Citizen
Listen to article

Dangote Flour Mills Plc (DFM) has said it has divested  99 per cent of Equity Stake in Dangote Agrosacks Limited to Dangote Industries Limited.

The company in a notice to the Nigeria Stock Exchange(NSE) said  that it is an outcome of a strategic review of its portfolio of businesses, aimed at aligning its core business areas with that of its core shareholder, Tiger Brand Limited, and thereby focusing on its food-related businesses going forward, DFM has executed a Share Sale and Purchase Agreement (''SSPA'') with Dangote Industries Limited (''DIL'') in respect of the sale of the Company's 84,150,000 ordinary shares of N1.00 each in Dangote Agrosacks Limited (''DASL'') representing 99 per cent of the total issued ordinary share capital of DASL.

It added that execution of the SSPA followed the receipt of approvals from the Board and Shareholders of DFM, as well as requisite regulatory approval from the Securities and Exchange Commission(SEC).

According to the company, 'the divestment is in furtherance of DFM's group-wide business optimisation initiative, aimed at ensuring that the company is efficiently structured to maximise shareholder value and sustain its market leadership position in the Nigerian Food and Beverages Sector.

In another development, Dangote Flour Mills Plc has also notified Exchange of the appointment of Mr. Thabo Mabe, as the substantive Group Chief Executive Officer of the Company with effect from 2nd June 2014.

This is contained in a notice to the exchange that he replaces Mr. Noel Doyle who was in acting capacity. Profile of Mr. Mabe will be made available as soon as it is received from the Company.